P. Bajec, I.
Jakomin: A Make-or-Buy Decision Process for Outsourcing
PATRICIJA BAJEC, M.Sc.
E-mail: patricija.bajec@fpp.uni-lj.si
IGOR JAKOMIN, Ph.D.
E-mail: igor.jakomin@fpp.edu
University of Ljubljana,
Faculty of Maritime Studies and Transportation
Pot pomorščakov 4, SI-6320 Portorož, Republic of Slovenia
A MAKE-OR-BUY DECISION PROCESS FOR OUTSOURCING
ABSTRACT
Should firms perform logistics services on their own or
should they buy them from a logistics provider? Today’s glob-
al competition forces companies to re-evaluate their existing
processes, technologies and services in order to focuse on
strategic activities. Outsourcing is now increasingly used as
a competitive weapon in today’s economy. External parties
can often do job quicker, cheaper and better. This has re-
sulted in an increasing awareness of the importance of the
make-or-buy decision, the dilemma organisations face when
deciding between keeping logistics services in house or pur-
chasing them from an outside logistics provider.
This article provides a make-or-buy decision process
methodology that any manager can implement – whatever
the size or industrial type of the organization. The make-or-
buy methodology is one of the most critical strategic deci-
sions within logistics outsourcing and should be taken in a
structured and consistent manner. A practical guide to this
decision is a step-by-step guide to addressing make-or-buy
decision in a consistent and structured manner. The high-
level steps are as follows:
–– evaluate whether outsourcing is right for your company;
–– determine exactly what functions to outsource and the
performance expectations;
–– use a well-defined professional selection process to eval-
uate and select which provider(s) are right for the job.
KEY WORDS
logistics, logistics outsourcing, make-or-buy decision, out-
sourcing methodology
1. INTRODUCTION
The beginning of the 21st century is proving to be
an interesting time for the logistics industry. There has
been a great deal of transformation in logistics out-
sourcing caused by the continued drive of manufactur-
ers and retailers to cut costs and by a continued focus
on core competencies.
Logistics and supply chain management have of-
ten been among the first functions to be outsourced.
This has moved beyond the warehousing and trucking
functions and spread to ancillary services. Usually,
Promet – Traffic&Transportation, Vol. 22, 2010, No. 4, 285-291 285
Distribution Logistics
Review
Accepted: Mar. 25, 2008
Approved: July 5, 2010
companies decide to outsource some or all of their lo-
gistics functions in order to reduce costs, make more
effective use of the working capital and focus their en-
ergies creating differentiation and promoting revenue
growth. In some cases, companies claim they can re-
spond faster and more effectively to change when us-
ing a logistics service provider (LSP). Indeed, there are
significant benefits to outsourcing logistics.
To maximize these benefits a review of make-or-buy
decision must be implemented. The make-or-buy deci-
sion is the act of making a strategic choice between
producing a product internally (in-house) or buying it
externally (from an outside provider). Making the right
choice can be the key factor in sustaining a company
competitive advantage and is one of the most impor-
tant tasks of a successful management.
Although the strategic implications of the make-
or-buy decision have been discussed for many years
these decisions are often made purely on the basis
of costs. This paper aims to address this gap by de-
veloping a decision-making process that can provide
managers with a way of managing the make-or-buy
decisions more effectively. The key objectives that
arise from the defined purpose are first to describe the
set of factors which affect the make-or-buy process,
second, to understand better the challenges and bar-
riers that companies face when deciding whether or
not to outsource a component or process and third, to
suggest some tools and methods for addressing the
make-or-buy decision process.
1.1 Logistics outsourcing defined
Logistics management has been defined as that
part of the supply chain process that plans, imple-
ments, and controls the efficient, effective flow and
storage of raw materials, in-process inventory, fin-
ished goods, services and related information from
the point-of-origin to the point-of-consumption (includ-
ing inbound, outbound, internal and external flows) in
such a way as to meet the customers’ requirements
cost-effectively and ensure that the current and future
 P. Bajec, I. Jakomin: A Make-or-Buy Decision Process for Outsourcing
profitability are maximised (Council for Logistics Man-
agement, various) [3].
Sourcing is the act of transferring work from one
entity to another. Outsourcing is the act of transferring
work to an external party. Whether or not to outsource
is the decision of whether to make or buy. Organisa-
tions are continuously facing the decision of whether
to expand resources to create an asset, resource,
product or service internally or to buy it from external
party. If the organisation chooses to buy, it is engag-
ing in outsourcing. An outsourcing initiative calls for
the transfer of factors of production, the resources
used to perform the work and the decision rights, or
responsibilities for making decisions. The organization
transferring these is referred to as a client, the organi-
sation that conducts the work and makes decisions is
the vendor, and the scope of the work is captured in a
project [7].
With respect to logistics outsourcing specifically,
Lynch (2000) provides the following summary: Logis-
tics outsourcing is an arrangement whereby a logistics
service provider performs services for a company that
could be, or have been, provided in-house. Logistics
outsourcing is about subcontracting logistics activities
to companies that are equipped to provide the ser-
vices. According to Rabinovich, Windle, Dresner and
Corsi (1999), logistics outsourcing can be defined as
long- and short-term contracts or alliances between
manufacturing and service companies and third-party
logistics providers (3PLs). Ravi (2001) points out that
the outsourcing of logistics functions is a business dy-
namic of great importance for many shippers and that
it involves the use of external companies (i.e. third par-
ties) to perform logistics functions that have tradition-
ally been performed within an organisation [3].
Project
Logistic
Client
Provider
Figure 1 - Components of outsourcing
Source: Power, Desouza, Bonifazi [7].
1.2 Evolution of logistics outsourcing
To understand profoundly the outsourcing, there
are four levels of logistics outsourcing. Figure 2 illus-
trates how this evolution has progressed over the last
30 years:
286 Promet – Traffic&Transportation, Vol. 22, 2010, No. 4, 285-291
1. In-house logistics, or insourcing logistics means
that the company operates its logistics activities in-
house. The company owns transport, warehouses,
handling equipment, and others including staff to
process the logistics functions.
2. Logistics service provider (LSP), or asset-based lo-
gistics (2PL) is the management of traditional lo-
gistics functions such as transport and warehouse.
The company who does not own or have enough
facilities and infrastructure may hire an LSP to pro-
vide the vehicles or the basic service. The major
reason is to reduce the cost or capital investment.
3. Third party logistics (3PL/TPL), or contract logis-
tics. TPL in the original term means using of exter-
nal organisations to perform the logistics functions
that can be the entire logistics process or selected
activities. A relationship is characterized by a lon-
ger-term, more mutually beneficial relationship.
4. Fourth party logistics, or supply chain logistics is an
evolution of supply chain outsourcing. It manages
and integrates all kinds of resources and oversees
3PL functions throughout the supply chain with the
sense of global market, strategic advantages and
long-term relationship [2].
Consultancy
Business Process
Management
Client 3PLs
Client 4PL Technology
4PL
1990-2000 Client Financial engineering
Outsourcing Client 3PLs
1980-1990
Insourcing
Client Internal Logistics Operation
1970s-1990s
Figure 2 - Evolution from in-house logistics
to various outsourcing models
Source: Gattorna, Selen, Ogulin [1]
The ever increasing competition in today’s global
markets, introduction of new products with shorter
lifecycles, faster dissemination and proliferation of in-
formation, and higher expectations of customers have
forced enterprises to invest in and focus attention on
the entire supply chains. The convergence of technol-
ogy and the rapid acceleration of e-capabilities have
raised the need for an over-arching integrator for sup-
ply chain-spanning activities.
The logistics service providers have been keen
on contributing to innovations in their client’s supply
chain for some time and they have been expanding
service offerings for example through the creation of
4PL offering. The fourth party logistics service provider
 P. Bajec, I. Jakomin: A Make-or-Buy Decision Process for Outsourcing
13,00 €
12,00 €
11,00 €
Revenues (Million Euros)
10,00 €
9,00 €
8,00 €
7,00 €
6,00 €
5,00 € 4,200
4,00 €
3,00 €
2,00 €
1,00 €
0,00 €
2002
Source: M. Williams [8]
(4PL) participates in supply chain coordination instead
of just providing operational logistics and fulfillment
services, like a traditional third party logistics provider
(3PL) would. The 4PL model essentialy elevates the
3PL to a coordination of the flow of goods, rather than
just an operator in the physical movement of goods.
This is seen by 3PLs as a method for not only increas-
ing revenues but also, more importantly, as a method
to contribute to offering higher value added activities
in the supply chain than the warehousing and trans-
port services traditionally did [9]. The idea of using a
4PL was slow in gaining traction. Now, as a result of
globalization, 4PLs are fast gaining momentum and
there is a considerable potential for growth in this sec-
tor.
2. FOUR STAGES PROCESS
MAKE-OR-BUY-DECISION
The decision of whether to make or to buy is a prob-
lem that is frequently encountered by higher manag-
ers who want to reveal and exploit every competency
within the links of the supply chain. Make or buy is a
decision not to be made only on the basis of economic
considerations, since acquisition or loss of core com-
petencies may also be involved.
Decisions regarding outsourcing significant functi­
ons are among the most strategic that can be made by
an organisation. They address the basic organisational
choice of the functions for which internal expertise is
developed and nurtured and those for which such ex-
pertise is purchased. Even an individual make-or-buy
decision can affect company’s production methods,
working capital, cost of borrowing or competitive posi-
tion.
Promet – Traffic&Transportation, Vol. 22, 2010, No. 4, 285-291 287
Total European 4PL market
12,300
10,700
10,100
8,500
8,100
6,200 6,500
4,800
2003 2004 2005 2006 2007 2008 2009 2010
Year
Figure 3 – Growth of European 4PL market
Outsourcing provides companies with the freedom
to concentrate their energies on key activities that are
critical to maintaining their competitive edge. This re-
sults in improvement of industrial relations and rising
labour productivity.
For activities eligible for outsourcing, the key stra-
tegic question is whether the firm can perform those
service activities on a level that is comparable with
the best organisations in the world. If a service activity
meets several criteria, the next step is deciding wheth-
er the service is central to the firm’s core strategic ac-
tivities. Moreover, to make the best make-or-buy de-
cision, companies must determine how that decision
will affect the final product quality and the company’s
technology [4].
The following are the suggested stages to success-
ful make-or-buy decision:
–– building incentive for outsourcing,
–– exploring strategic implications,
–– analyzing costs/performance,
–– selecting providers.
2.1 Planning stage
As with any significant new planning activities also
by planning initiative team member selection, the
leader selection and outside adviser come into play.
The project team assesses the risk and the resources,
information and management skills needed to miti-
gate those risks, while the outsourcing adviser levels
the playing field with the outsourcing providers [6].
The feasibility of outsourcing is determined by a series
of screenings that every outsourcing initiative should
pass before further, detailed evaluation:
1. Senior management and employee announce-
ment: Because outsourcing involves a number of
 P. Bajec, I. Jakomin: A Make-or-Buy Decision Process for Outsourcing
PLANNING EVALUATION
STAGE STAGE
– assess risks, – evaluate implication on
– senior management and company’s strategy
employee announcement, – determine core
– choose the project leader, competences,
– appoint the project team, – define motive,
– choose independent objective, scope
advisor.
Figure 4 – Four stages in the make-or-buy decision process
strategic issues, as well as significant risks and re-
wards, senior management’s clear and unequivo-
cal stated support is prerequisite. For larger out-
sourcing initiatives top management must play a
role. For smaller initiatives, middle-level managers
might do the heavy lifting with the support of se-
nior management. The team usually needs a mix
of managerial and technical talent and representa-
tives from user areas whose services will be direct-
ly impacted by outsourcing. User perspectives and
objectives are essential for setting the scope and
assessing the risks. Before selecting the project
team and advisers the organisation must inform
also the employees about the outsourcing initia-
tive, explain why outsourcing should be explored
and indicate that this is only a test to determine
if outsourcing is a viable tool. If they do not know
what is happening, they may react very negatively
to outsourcing.
2. Choosing the project leader: Early in the outsourc-
ing evaluation process, the customer must identify
who will take the leadership responsibility, perform
the analysis, and make the decisions. The role of the
outsourcing project leader is complex and challeng-
ing. It runs from managing the project, the team,
and the individual team members to gathering tech-
nical support, facilitating discussions, and drawing
out consensus to drafting reports, making presen­
ta­tions and so on [6]. In selecting the individuals
for this position, the following characteristics should
be considered: (1) ability to embrace and champion
change, (2) earned credibility across the organiza-
tion, (3) a desire to manage, not to do, (4) the abil-
ity to build trust, (5) strong communication skills,
(6) strong negotiation skills, (7) strategic planning
skills, (8) project and team management skills, (9)
marketing skills, (10) process expertise [5].
3. Appoint process implementation team: Choosing
team members is a critical step in successful out-
sourcing. Characteristics and skills that the out-
sourcing team members should possess are the
288 Promet – Traffic&Transportation, Vol. 22, 2010, No. 4, 285-291
ANALYSING SELECTING
STAGE STAGE
– measure current – define organisation
and future costs, needs
– measure current – engage the
and future marketplace
performance – prepare and deliver
request of proposal
(RFP)
following: (1) motivation to participate, (2) a record
of delivering on promises, (3) strong communica-
tion skills, (4) ability to think creatively and strategi-
cally, (5) solid performance evolutions, (6) relevant
specialization within the organization, (7) wide ex-
perience from outside the organization. The team
members should be objective. They should repre-
sent a cross-section of the organization’s functions
and should have access to and full cooperation of
the individuals in the areas to be considered for
outsourcing [6]. The size of the customer’s team
depends on the scope and size of the project, but
smaller teams are generally more effective. The
team can be quite small in the planning phase and
expanded when the analysis begins. Teams with
full-time members are often more focused and ef-
fective than teams composed of people who work
part-time, although full-time allocation may only
make sense for large outsourcing projects. It helps
tremendously to have persons experienced in out-
sourcing on the team for the insight they bring to
the issues and the realism they bring to cost and
benefit estimates.
4. Choosing an independent advisor: Independent
outsourcing advisors can help avoid failures. They
will have seen different situations first hand and
can help the client avoid the same pitfalls. Lack of
planning, lack of follow-up in execution, miscom-
munication, not understanding cultural differenc-
es, poor process, etc., are just a few of the areas
that an outside advisor can help with. If a client
has not established an offshore outsourcing rela-
tionship, having an independent advisor can help
formulate clearly articulated objectives and bring
their expertise to the table with regard to process,
selection, contract negotiations, and getting the
transition going in an accelerated manner. An-
other benefit of an outside advisor is to help the
client understand if they are getting a good deal
(compared with the industry and other clients do-
ing similar work with a similar type of outsourcer).
 P. Bajec, I. Jakomin: A Make-or-Buy Decision Process for Outsourcing
This removes one potential area of mistrust in the
relationship. Also, advisors who have people with
good understanding of the outsourcer’s national
culture can explain the cultural differences. There
are steps one can take to avoid these problems.
Independent advisors can most certainly help in
establishing, repairing, maintaining, and improving
client/provider relationships.
2.2 Evaluation stage
If the outsourcing idea has passed the initial
screenings, planning can proceed to a detailed out-
sourcing evaluation:
1. Outsourcing implication on organizational vision
and structure: Early in the outsourcing evaluation
process, the customer must find out and under-
stand how outsourcing can fit within the organisa-
tion’s strategies (organizational structure and vi-
sion) and how its implementation will affect those
strategies.
2. Determining core competences: Core competen-
cies are the source of competitive advantage and
arise from the integration of multiple technologies
and the coordination of diverse production skills.
To achieve long-term growth, companies need to
develop, protect, and leverage their core compe-
tencies and consider outsourcing any activities
that do not confer a competitive advantage. If the
function or functions to be outsourced contribute
in central ways to the organization’s competitive
success (core competencies) then those core func-
tions are probably not strong candidates for out-
sourcing. Identifying which resources and capabili-
ties to preserve and which activities to outsource,
requires careful consideration and planning.
3. Defining the motive, objectives and scope: Before
serious analysis of cost and performance can take
place, the company should know the objectives of
outsourcing and know the scope of what is to be
considered for outsourcing. If the company does
not know what it is trying to accomplish, any alter-
native can look good or bad. Companies that rush
into outsourcing without fully understanding what
they hope to gain soon find themselves in a mire of
contractual battle or not receiving improved servic-
es. Sensible reasons to consider outsourcing are
both strategic and tactical. It is essential to know
and clearly define the objectives of the company
and to document what the company expects from
outsourcing. Clear objectives help lead to a sound
decision on what to outsource and what not to out-
source. The objectives for outsourcing are often de-
rived directly from the motives for outsourcing that
can be grouped into a few summarised categories:
(1) concentration on core business, (2) investment
Promet – Traffic&Transportation, Vol. 22, 2010, No. 4, 285-291 289
reduction, (3) restructuring of the supply chain, (4)
cost reduction and service improvements. Specify-
ing outsourcing objectives that are more specific
than the motives provides a basis for developing
selection criteria for the provider and guides the
requirements and conditions in the RFP and pro-
vides a common understanding for the persons
who write the RFP, evaluate the proposals, and rec-
ommend the selected supplier(s). Objectives also
provide the basis for evaluating provider propos-
als. The last important thing to be defined is the
scope. Outsourcing can be divided into two general
categories: total and selective. Total outsourcing
involves contracting out 80% or more of the func-
tion. Selective outsourcing involves outsourcing a
few functions that total less than 80% of the whole.
Methods for identifying functions that might be
selectively outsourced include opportunistic, prob-
lem-focused approaches and more methodical
planning approaches.
2.3 Internal costs and performance analysis
The goals of this phase are to develop detailed
cost analysis of the target function. When consider-
ing outsourcing part or all of any business process
the following associated costs need to be taken into
account: salaries, benefits, training/education, spe-
cialised software, travel, phone charges, depreciation/
amortisation, mail costs and postage, office supplies,
equipment, management time, information costs, oc-
cupancy charges.
It is essential that the project team conducts activ-
ity-based analyses in order to understand the current
costs of the activities that might be outsourced and
those that are staying. To this are added the costs of
invested capital and the estimated costs of poor per-
formance [6]. The biggest challenge is to develop both
costs and service requirements in light of expected
technological and business change (which may be
interrelated) over the expected life of the outsourcing
arrangement. Forecasting the future is always difficult
and often inaccurate, but still necessary. The project
team must estimate which costs do not disappear
with outsourcing and what new costs will be incurred
as result of outsourcing. Without a good idea of future
needs and the costs of meeting these needs, it is dif-
ficult to outsource effectively and efficiently.
There are also financial benefits resulting from out-
sourcing and they are other than cost-related. These are
estimated and used in the make-or-buy decision [6].
Current performance should also be measured and
analyzed, since performance improvement is often a
rea­son for outsourcing. The project team estimates
the financial impact of the internal poor performance
and projects future performance. Understanding the
 P. Bajec, I. Jakomin: A Make-or-Buy Decision Process for Outsourcing
Make
Activity Invested
costs capital
Labour Overheads
Poor
information
+
Raw
Other
material
Total costs of «make-it» decision
Figure 5 – Financial element of “make-it” decision
Source: M. F. Greaver [6]
exist­ing performance is fundamental to setting provid-
er performance standards and monitoring their perfor-
mance [6].
Once a company has estimated all the costs, it de-
termines its position on who will bear each cost – the
organization or the outsourcing provider, as shown in
Figures 5 and 6.
2.4 Selecting service provider
This process of first defining organisations needs,
then engaging the marketplace of providers, preparing
and delivering request of proposal (RFP) and ultimate-
ly selecting the right provider requires a good interplay
of internal assessment, coupled with an effective and
practical interaction with the marketplace of potential
providers [5].
Once a decision has been made on which areas to
consider for outsourcing, the project team should begin
researching the providers. Following are a number of
ways how to proceed in identifying potential providers:
–– open a dialogue with outside organizations the
company is already doing business with,
–– use the organization’s professional network,
–– direct research,
–– use consultants [5].
The project team lists the criteria for “qualified”
providers based on the reasons for outsourcing. Po-
tential providers are identified and further investiga-
SELECTING PLANNING
PROVIDER NEGOTIATIONS
Figure 7 – Additional four steps of complete outsourcing process
290 Promet – Traffic&Transportation, Vol. 22, 2010, No. 4, 285-291
Buy
Provider’s Costs, that
proposal don’t disappear
+ +
+ One-time costs
+ +
Future pricing
in provider’s
Ongoing costs
proposal
Total costs of «buy-it» decision
Figure 6 – Financial element of “buy-it” decision
Source: M. F. Greaver [6]
tions are made to determine their qualification. Their
qualifications are then compared to the criteria and a
decision is made on whether they should be invited
to submit proposals. Requests for proposal are pre-
pared and delivered to the targeted providers list and
should include the reasons for outsourcing, scope of
outsourcing, qualifications of providers, pricing mod-
els, performance measures. When the proposals are
returned, they are evaluated and compared to the
other proposals and further discussions are held with
the providers on the short list. From this short list the
prime provider is selected [6].
2.5 Decision time
This is the step where the oversight of the project
team and top management comes into active play.
The goal here is to review the information gathered till
this phase and to consider the recommendation on
whether the service should be made internally or out-
sourced. If the decision is to buy the part family from
an outside source (or sources), then the four steps
shown in Figure 7 should be undertaken.
3. CONCLUSION
The recent times have witnessed an increased
global interest in outsourcing of logistics functions.
PLANNING MANAGING
TRANSITION RELATIONSHIP
 P. Bajec, I. Jakomin: A Make-or-Buy Decision Process for Outsourcing
The outsourcing process is very complex and has to
be planned, well organised, calculated and performed
in the best possible way to gain the expected success.
Determination whether to produce logistics servic-
es internally or to buy them from an outside logistics
provider involves both qualitative and quantitative fac-
tors. Qualitative considerations include service quality
and the necessity for long-run business relationships
with subcontractors. Quantitative factors deal with
cost.
The steps of the make-or-buy decision should be
modified to fit the specific organization and outsourc-
ing situation. These decisions are always individual
decisions, which have to take into consideration the
specific characteristics of each company. The estab-
lishment process depends on the type of industrial
sector, complexity and scope of activities. This means
that the establishment of a general model, which will
be useful for all organisations makes no sense.
Mag. PATRICIJA BAJEC
E-mail: patricija.bajec@fpp.uni-lj.si
Dr. IGOR JAKOMIN
E-mail: igor.jakomin@fpp.edu
Univerza v Ljubljani, Fakulteta za pomorstvo in promet
Pot pomorščakov 4, 6320 Portorož, Republika Slovenija
POVZETEK
POSTOPEK ODLOČITVE »NAREDI SAM ALI
KUPI« V PROCESU OUTSOURCINGA
Naj podjetja sama izvajajo logistične storitve ali naj jih
kupijo od logističnih izvajalcev? Dandanašnje globalno
konkurenčno okolje sili podjetja v ponovno ovrednotenje
svojih obstoječih logističnih procesov, tehnologij in storitev
znotraj podjetja, z namenom osredotočenja na strateške
aktivnosti. Outsourcing se tako pospešeno uporablja kot
konkurenčno orožje v današnji ekonomiji, saj lahko zunanji
izvajalci pogosto opravijo delo hitreje, ceneje in bolj kvalitet-
no. Temu logično sledi tudi povečana zavest o pomembnosti
odločitve »naredi sam ali kupi«, dilema s katero se podjetja
soočajo, ko se odločajo med ohranitvijo izvedbe logističnih
storitev znotraj podjetja ter med izločitvijo izvedbe logističnih
storitev v roke zunanjemu izvajalcu.
Članek nudi splošno metodologijo odločitve »naredi sam
ali kupi«, ki je uporabna vsem managerjem, ne glede na ve-
likost ali industrijsko panogo podjetja. Odločitev »naredi sam
Promet – Traffic&Transportation, Vol. 22, 2010, No. 4, 285-291 291
ali kupi« je ena izmed najbolj kritičnih strateških odločitev v
okviru logističnega outsourcinga, zato mora biti izpeljana na
strukturiran in dosleden način. Eden izmed praktičnih post-
opkov, ki podpira tak način izpeljave odločitve je izvedba ko-
rak za korakom. Najpomembnejši koraki v okviru te izvedbe
so sledeči:
–– Ovrednotiti ali je outsourcing primeren za podjetje.
–– Natančno določiti funkcije, ki jih podjetje namerava
izločiti v zunanje izvajanje ter pričakovanja podjetja glede
same izvedbe.
–– Uporabiti dobro definiran strokoven proces, ki bo poma-
gal ovrednotiti pravo izbiro zunanjega izvajalca.
KLJUČNE BESEDE
logistika, logistični outsourcing, odločitev »naredi sam ali
kupi«, metodologija outsourcinga
LITERATURE
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strategies and trends for 3PL/4PL in Australia, Alpha
Research Consortium, Sydney, Australia, March 2004
[2] J. Ge, L. Ding, N. Bussayadilokskul, L. Zhang, B. Han, Z.
Cai: Outsourcing Logistics Services Including 4PL, Lo-
gistics & Supply Chain Management Summer School,
Sydney, Australia, May 2004
[3] J. K. Beverly: An investigation into logistics outsourcing
practices, trends and issues within the manufacturing
sector in South Africa, Ph. D. thesis, Rand Afrikaans
University, Johannesburg, South Africa, 2003
[4] L. G. Laios, S. J. Moschuris: ˝Make-or-buy Decisions
– Major Factors to Consider˝, Journal of Supply Chain
Management, 2004, pp. 85-87
[5] M. F. Corbett: ˝The Outsourcing Revolution: Why it
makes sense and how to do it right˝, Dearborn Trade
Publishing, Chicago, 2004
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